Germany Sends $62,775 Million in Bitcoin Sent to Crypto Exchanges, Sparking Sell-Off Speculation

Key Takeaways

• The German government transferred roughly $193m worth of confiscated Bitcoin to identified exchange addresses.
• Another $251m was sent to an address marked “139Po”.
• Germany ranks among the top countries holding Bitcoin, with 46,359 BTC worth approximately $2.8 billion.
• Bitcoin’s price has been declining recently, fueled by concerns over potential sell-offs by the German government and upcoming Mt. Gox repayments.

The German government has sent 282.74 BTC , equating to about $17.6 million to three leading crypto exchanges namely Coinbase, Bitstamp and Kraken which has led to speculations of a possible liquidation of these assets.

Arkham, the on-chain analytics firm that monitors Bitcoin movements from addresses associated with the German state, identified  these transactions. This round of activity is just one in a string of recent transfers by Germany’s government using Bitcoin.

Bitcoin Transferred to Different Exchanges

The huge amount of Bitcoin, worth over $3 billion, was initially taken from the Movie2k.to website, which had been involved in movie piracy.

In January, Germany carried out a huge operation that resulted in the seizure of 50,000 bitcoins from a piracy website, making it the largest ever Bitcoin seizure by German law enforcement according to an official statement.

Recent data from Arkham shows that on July 2nd at around 8:20 am UTC, the German Federal Criminal Police Office (BKA) distributed bitcoin across multiple exchanges. This includes sending 100 BTC ($6.2 million) to Coinbase, 150 BTC ($9.4 million) to Bitstamp and 32.74 BTC (around $2 million) to Kraken.

Besides these transactions, there was another one whereby 550BTC ($34.3 million) were sent to an address identified as “139Po”. The recipient of this address has not yet been confirmed by Arkham but it suspects that this could also be an exchange. These transfers are part of an ongoing effort in management of seized Bitcoin.

So far, the German government has so far transferred roughly $193m worth of confiscated Bitcoin to identified exchange addresses. Also, another $251m was sent to an address marked “139Po.”

These transactions followed earlier movements on July 1st where the government sent 200 BTC ($12.6 million) to Bitstamp , 100 BTC ($6.3 million) each to Coinbase and Kraken, and 1,100 BTC ($69.4 million) to the “139Po” address . This continued expropriation of seized assets underlines the magnitude of Germany’s handling of its extensive Bitcoin holdings.

German Federal Police Wallet Transfers 400 Bitcoin to Coinbase and Kraken

According to  Arkham Intelligence, a wallet associated with the German Federal Criminal Police Office (BKA) transferred 400 Bitcoin (BTC), valued at around $24.34 million, to Coinbase and Kraken on June 26.

Additionally, another 500 BTC, worth approximately $30.4 million, was sent to an untagged address labeled “139Po.”

While the transfer of $24 million in Bitcoin by a German government-linked wallet to exchanges like Coinbase and Kraken could suggest an intent to sell, this seems to be a relatively small amount compared to the $40 billion+ daily Bitcoin trading volume.

Germany’s Bitcoin holdings are substantial, totaling 46,359 BTC worth approximately $2.8 billion. This places Germany among the top countries holding Bitcoin, following the US, China, and the UK.

These transactions follow a series of notable Bitcoin movements last week, where $130 million was sent to various exchanges on June 19, followed by $65 million on June 20.

German Government Receives Large Bitcoin Transfers

Addresses labeled by the German government also received substantial amounts back, including $20.1 million from Kraken and $5.5 million from wallets linked to Robinhood, Bitstamp, and Coinbase.